If given the chance, Indonesia’s COVID-19 stimulus can build a green, resilient economy
Summary
The author contends that Indonesia's COVID-19 recovery stimulus should shift away from fossil fuel support toward renewable energy, sustainable agriculture, and decentralized energy systems to ensure long-term economic stability and climate resilience.
Key insights
- Indonesia's current energy landscape is heavily dependent on fossil fuels, with coal powering approximately 50% of electricity and oil fueling nearly all transportation, while renewable energy accounts for less than 10%.
- Existing stimulus packages provide financial support to the mining, oil, and gas industries but fail to mention other green industries, which, combined with coal subsidies and coal-driven tariffs, makes renewables a risky investment for the private sector.
- The document recommends using stimulus incentives to decentralize energy through off-grid renewable systems for rural areas and to promote crop diversification in agriculture to avoid 'single-commodity traps', citing the Berau district of East Kalimantan where palm oil dominates 90% of agricultural land.
- To build a resilient economy, the author suggests Indonesia should invest in electric vehicles and a diverse energy supply chain utilizing sun, wind, and water to reduce dependence on limited natural resources.
Cite the original document
- APA
- Staff, C. (2020). If given the chance, Indonesia’s COVID-19 stimulus can build a green, resilient economy. Climate Policy Initiative. https://www.climatepolicyinitiative.org/if-given-the-chance-indonesias-covid-19-stimulus-can-build-a-green-resilient-economy/
- Chicago
- Staff, CPI. If given the chance, Indonesia’s COVID-19 stimulus can build a green, resilient economy. Climate Policy Initiative, 2020. https://www.climatepolicyinitiative.org/if-given-the-chance-indonesias-covid-19-stimulus-can-build-a-green-resilient-economy/.
- Wikipedia
- {{cite press release |last1=Staff |first1=CPI |title=If given the chance, Indonesia’s COVID-19 stimulus can build a green, resilient economy |publisher=Climate Policy Initiative |date=4 June 2020 |url=https://www.climatepolicyinitiative.org/if-given-the-chance-indonesias-covid-19-stimulus-can-build-a-green-resilient-economy/ |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @misc{staff2020given, author = {Staff, CPI}, title = {{If given the chance, Indonesia’s COVID-19 stimulus can build a green, resilient economy}}, publisher = {Climate Policy Initiative}, year = {2020}, month = jun, url = {https://www.climatepolicyinitiative.org/if-given-the-chance-indonesias-covid-19-stimulus-can-build-a-green-resilient-economy/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
Full text
Collected · Record updated